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The Shell Petroleum Development Company of Nigeria Limited

Operator of the NNPC/Shell/TEPN/Agip Joint Venture

Invitation to pre-qualification tender No.NGO1004361

THE OGBOTOBO CONCRETE BARGE MOUNTED FLOWSTATION REFURBISHMENT

INTRODUCTION

The Shell Petroleum Development Company of Nigeria (SPDC) in its role as Operator of the NNPC/SHELL/TEPN/AGIP Joint Ventures intends, on behalf of the Joint Venture, hereby invites reputable companies (DPR registered and Licensed) to apply to be considered for pre-qualification selection into the bid list of the tender for the refurbishment of Ogbolobo concrete barged mounted flowstation.

DESCRIPTION OF SERVICES

SPDC intends to pre-qualify companies to provide the services as listed below. The Scope of the services shall include, but not limited to the following:

·Planning and Project Managements ,

·Procurement for ALL approved equipment and associated materials

·Mobilization of ALL requisite personnel, equipment, site offices, accommodation and other facilities required to WORK SITE

·Provision of any other relevant services that shall be deemed necessary for successful execution of project.

·Demobilization and project close out

SCHEDULE

The expected start and end dates are Q1 2010 and Q1 2011 respectively

NOTIFICATION

This notification is ONLY to interested companies (that must be based in Nigeria) with proven experience in the SPECIALISED Oil & Gas activities such companies must have track record of good and safe performances in these construction activities.

To be considered for the qualification, the companies are to submit notice f intent to pre-qualify in the tender exercise, which shall be accompanied with the following document in the format below. Interested companies are to submit their documentation strictly following the format below:

A.GENERAL COMPANY PROFILE

·Company full Registration Certificate with CAC.

·Full details of Company’s profiles, including details of ownership.

·Tax clearance certificate for the Last three (3) years.

·DPR Permit/Licence to engage in specialised category of construction services especially installation and upgrade onshore production facilities (Please note that DPR registration is mandatory & Evidence of Payment is not acceptable)

·Evidence of Registration in NIPEX.

·Name and address of company including telephone, emails, faxes etc.

·Name and address of company representative who shall be responsible for all correspondence

B.FINANCIAL CAPACITY

·Company’s audited financial reports and funding information over the last three years (3) years: audited financial reports shall be from registered accounting firms evidence by the presence of the ICAN PPS stamps on the certificate

·Evidence of credit capacity or access to additional funding from a reputable commercial bank.

C.TECHNICAL CAPACITY

·Ownership of Full Swamp Equipments Spread and other requisite facilities for the provision of flowstation construction works in Nigeria. Where the company does not own facilities, the company is to provide subsisting agreement to cover for the period of the project.

·Evidence that the company has patent right or is an accredited representative of an Original Equipment manufacturer (OEM). Documentary evidence should include the current status as a manufacturer or representative in Nigeria

·Company’s catalogue showing relevant and verifiable work experience in the specialised Oil & Gas construction activities for the past 5 years. Companies are to include work orders, signed work completion certificate from client’s companies in similar Oil and Gas operations.

SPDC is committed to fully comply with the federal Government directives on Nigerian Content to provide opportunities for Nigerian contractors and the development of local expertise. Pursuant to the above, only Nigeria Companies working alone, or as leading partners in a consortium with foreign firms are qualified to bid for the tender.

The Federal Government of Nigeria Policy and Directives on Nigeria Content Development (“Directives”) mandates that all contracts in the Petroleum Industry create value in the Country with target of 70% by 2010 in terms of total monetary expenditures in-country.

SPDC intends and will expects bidders, to comply with the Federal Government Nigerian Content Development Directives of October 13, 2006 (or its latest revision) available at www.nnpcgroup,com and www.nigcontent.com because they constitute a FATAL FLAW in all contract evaluations. As a result bidders will be evaluated on their perceived willingness, documented track record, and demonstrated plans to fully comply with the Directives and Company Requirements.

An objective of this contractual process id to allow bidders to demonstrate their willingness and ability to perform this work in Nigeria using resources (goods & materials, products & services) of Nigeria origin in a dependable manner. Each bidder will also be required to demonstrate that they will maintain a stable management organization and infrastructure in Nigeria maximise the utilization of Nigeria content plan on building competences and capacity locally through training and technology transfer.

Companies responding to this advert are required to include in their bids, detailed Nigerian content plan on how to meet these requirements. The plan should include the following information:

·Describe (including your Company’s organisation chart) where your project management team and procurement centre will be located in Nigeria.

·Provide detailed description of the location of in-country committed facilities & infrastructure (assets, equipments, technical office, and administrative space, storage, workshop, assembly area, repair & maintenance, testing, laboratory, etc) in Nigeria to support this contract or submit a credible and verifiable plan towards setting-up. Provide details and description of where in Nigeria all of fabrication work on this contract will be performed. Pre Qualify entity is to state where (i.e. name & address of fabrication yard and onshore construction facility) in Nigeria.

·Provide evidence (personnel list and positions with organisations chart to substantiate) of percentage of management that are Nigeria Nationals and the percentage of the total workforce that are Nigerians.

·Provide description of how bidder would maximize the utilization of Nigerian Human Resources (human and materials) and services in the execution of this contract. The job positions and skill area in the overall job position/key personnel matrix that would engage Nigeria national directly on this contract.

·Value of work/services that will be executed in Nigeria as a percentage of the overall project scope in monetary terms with detailed breakdown of the components that make up the total percentage.

·Provide the list of materials and good to be procured in-country and those to be procured out-of-country.

·Details of work to be done by Company with own resources and those to be subcontracted. Give the scope of such subcontractors, names and location of the proposed subcontractors. List of all work which will be carried out by Nigerians and domiciled in-country, in accordance with Nigerian Content, Directives, divided into two categories:

i.Work, which will be executed by the Applicant using its own resources.

ii.Work, which be sub-contracted, giving the scope of such sub-contractors and the names and locations of the proposed sun contracts and /or details of scope of work for indigenous services & local 3rd party business that would support contract.

·Demonstrated that entity is an indigenous company or an indigenous company or an indigenous company in genuine alliance with a foreign-owned or multinational company registered in Nigeria. Submit certified true copies of CAC forms 01, 02 & 07 including company memorandum & article of association and/or evidence of entity’s incorporation, shareholding & ownership structure in Nigeria. Bidders with alliances and partnerships should submit evidence of binding pre-bid joint venture/partnership or consortium relationships agreement consistent with the NNPC NDC Procedure for MOA management (available on the NNPC NCD website www.nigcontent.com ) and signed by the CEO of both parties

·Provide training and competence development plan for Nigerians in the Company and commitment/specific programs in place to transfer technology and employment generation. Evidence of past trainings in last two year is required. Provide a project –specific training, man-hour budget, skill development and technology transfer plan for Nigerian personnel or indigenous business including business. Plan for sponsorship of Nigerians to acquire competence and/or certification. Further development of local employees as professionals. Proposed training plan for Nigerians on the project including a brief outline for engineering, project management, procurement, construction, start-up & commissioning, maintenance, testing and operations.

·Sate, who(name and address) in Nigeria will perform all third party services relating to fabrication and construction including but not limited to NDT, mechanical tests, PWHT, QAQA,: as well as certification of welding procedures and welders by the Nigerian Institute of Welding (NIW) in collaboration with international accreditations bodies

·Provide details 9name, address & description) of the engineering office organization in Nigeria where engineering would be domiciled including the engineering execution * strategy plan that ensures 100% domiciliation of ALL engineering and design in Nigeria.

·Provide any further innovative proposals that would enhance Nigeria Content on the contract.

Failure to fully comply with the Government Directives or demonstrate commitment to Nigeria Content Development shall be deemed as “FATAL FLAW” and shall result to disqualification from bidding for this contract.

PRE-QUALIFICATION PACKAGE

Interested and Reputable companies can download the pre-qualification package from the NIPEX website at www.nipexng.com .Companies are expected to have attained the published status in the NIQS database to be eligible for this exercise.

Shell Petroleum Development Company of Nigeria Limited, Main office Area, Ogunu Road

Warri, Delta State, Nigeria

The Marked and sealed envelope shall be submitted to the address NOT later than 2:00pm on October 30th 2009

This advertisement of Invitation to Pre-qualification” tender shall not be a construed to be a commitment on the part of NNPC/SPDC to award any form of contract to any company and/or associated companies, sub-contractors or agents, nor shall it entitle any company submitting document to claim any indemnity from NNP/SPDC and/or of its partners. NNPC/SPDC reserves the right to take final decision on any of the documents received in the pre-qualification/Technical package.